Bill Text: AZ HB2857 | 2012 | Fiftieth Legislature 2nd Regular | Engrossed
Bill Title: Health; welfare; budget reconciliation; 2012-2013
Spectrum: Partisan Bill (Republican 1-0)
Status: (Introduced - Dead) 2012-05-01 - House Committee of the Whole action: Do Pass Amended [HB2857 Detail]
Download: Arizona-2012-HB2857-Engrossed.html
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House Engrossed |
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State of Arizona House of Representatives Fiftieth Legislature Second Regular Session 2012
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HOUSE BILL 2857 |
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AN ACT
amending sections 35‑142.01, 36‑694, 36‑2239 and 36‑2901.05, Arizona Revised Statutes; amending title 36, chapter 34, article 1, Arizona Revised Statutes, by adding section 36‑3415; amending Laws 2011, chapter 31, section 23; repealing Laws 2011, chapter 31, section 34; making a transfer; relating to health and welfare budget reconciliation.
(TEXT OF BILL BEGINS ON NEXT PAGE)
Be it enacted by the Legislature of the State of Arizona:
Section 1. Section 35-142.01, Arizona Revised Statutes, is amended to read:
35-142.01. Reimbursement of appropriated funds; receipt and deposit; prohibition
A. Except as provided in subsection B of this section, when monies are appropriated to a budget unit for a specific program or purpose which that is subject to reimbursement in whole or in part from federal monies or any other source, and which that is so noted in the appropriation bill, the budget unit, upon receipt of such reimbursement, shall deposit the monies, pursuant to sections 35‑146 and 35‑147, in the state general fund or the fund from which the appropriation was originally made. If the reimbursement is not noted in the appropriation bill, it may be credited to the account out of which the expenditure was incurred if the director of the budget unit determines that reimbursement within the fiscal year is necessary for operation of the budget unit and was not specifically considered and rejected by the legislature at the time of appropriating monies to the budget unit. The director of the budget unit shall notify the joint legislative budget committee, the governor's office of strategic planning and budgeting and the state comptroller in writing of determinations made pursuant to this section.
B. When monies are appropriated to the Arizona health care cost containment system administration or the department of health services and the specific program or purpose for which the monies are appropriated is subject to reimbursement for reconciliation payments from or penalties against program contractors or health plans, the department or administration, on receipt of such reimbursement, shall deposit the monies, pursuant to sections 35‑146 and 35‑147, in the state general fund or the fund from which the appropriation was originally made. The Arizona health care cost containment system administration and the department of health services are prohibited from allowing reconciliation payments from or penalties against program contractors or health plans to be credited against future payments to the program contractor or health plan.
Sec. 2. Section 36-694, Arizona Revised Statutes, is amended to read:
36-694. Report of blood tests; newborn screening program; committee; fee; definitions
A. When a birth or stillbirth is reported, the attending physician or other person required to make a report of the birth shall state on the certificate whether a blood test for syphilis was made on a specimen of blood taken from the woman who bore the child or from the umbilical cord at delivery, as required by section 36‑693, and the approximate date when the specimen was taken.
B. When a birth is reported the attending physician or person who is required to make a report on the birth shall order or cause to be ordered tests for certain congenital disorders. The results of tests for these disorders must be reported to the department of health services. The department of health services shall specify in rule the disorders, the process for collecting and submitting specimens and the reporting requirements for test results.
C. When a hearing test is performed on a newborn, the initial hearing test results and any subsequent hearing test results must be reported to the department of health services as prescribed by department rules.
D. The director of the department of health services shall establish a newborn screening program within the department to ensure that the testing for congenital disorders and the reporting of hearing test results required by this section are conducted in an effective and efficient manner. The newborn screening program shall include an education program for the general public, the medical community, parents and professional groups. The director shall designate the state laboratory as the only testing facility for the program.
E. The newborn screening program shall establish and maintain a central database of newborns and infants who are tested for hearing loss and congenital disorders that includes information required in rule. Test results are confidential subject to the disclosure provisions of sections 12‑2801 and 12-2802.
F. If tests conducted pursuant to this section indicate that a newborn or infant may have a hearing loss or a congenital disorder, the screening program shall provide follow-up services to encourage the child's family to access evaluation services, specialty care and early intervention services.
G. The director shall establish a committee to provide recommendations and advice to the department on at least an annual basis regarding tests that the committee believes should be included in the newborn screening program. Any recommendation by the committee that a test be added to the newborn screening program shall be accompanied by a cost-benefit analysis.
H. The committee shall include the following members who are appointed by the director and who serve without compensation or reimbursement of expenses at the pleasure of the director:
1. Seven physicians who are licensed pursuant to title 32, chapter 13 or 17 and who represent the medical specialties of endocrinology, pediatrics, neonatology, family practice, otology and obstetrics.
2. A neonatal nurse practitioner who is licensed and certified pursuant to title 32, chapter 15.
3. An audiologist who is licensed pursuant to chapter 17, article 4 of this title.
4. A representative of an agency that provides services under part C of the individuals with disabilities education act.
5. At least one parent of a child with a hearing loss or a congenital disorder.
6. A representative from the insurance industry familiar with health care reimbursement issues.
7. The director of the Arizona health care cost containment system administration or the director's designee.
8. A representative of the hospital or health care industry.
I. The director may establish by rule a fee that the department may collect for operation of the newborn screening program, including contracting for the testing pursuant to this section. The fee for the first specimen and hearing test shall not exceed thirty dollars. The fee for the second specimen and hearing test shall not exceed forty dollars.
J. For the purposes of this section:
1. "Infant" means a child who is twenty-nine days of age to two years of age.
2. "Newborn" means a child who is not more than twenty-eight days of age.
Sec. 3. Section 36-2239, Arizona Revised Statutes, is amended to read:
36-2239. Rates or charges of ambulance service
A. An ambulance service that applies for an adjustment in its rates or charges shall automatically be granted a rate increase equal to the amount determined under section 36‑2234, subsection E, if the ambulance service is so entitled. An automatic rate adjustment that is granted pursuant to this subsection and that is filed on or before April 1 is effective June 1 of that year. The department shall notify the applicant and each health care services organization as defined in section 20‑1051 of the rate adjustment on or before May 1 of that year.
B. Notwithstanding subsection E of this section, if the department does not hold a hearing within ninety days after an ambulance service submits an application to the department for an adjustment of its rates or charges, the ambulance service may adjust its rates or charges to an amount not to exceed the amount sought by the ambulance service in its application to the department. An ambulance service shall not apply for an adjustment of its rates or charges more than once every six months.
C. At the time it holds a hearing on the rates or charges of an ambulance service pursuant to section 36‑2234, the department may adjust the rates or charges adjusted by the ambulance service pursuant to subsection B of this section, but the adjustment shall not be retroactive.
D. Except as provided in subsection H of this section, an ambulance service shall not charge, demand or collect any remuneration for any service greater or less than or different from the rate or charge determined and fixed by the department as the rate or charge for that service. An ambulance service may charge for disposable supplies, medical supplies and medication and oxygen related costs if the charges do not exceed the manufacturer's suggested retail price, are uniform throughout the ambulance service's certificated area and are filed with the director. An ambulance service shall not refund or limit in any manner or by any device any portion of the rates or charges for a service which the department has determined and fixed or ordered as the rate or charge for that service.
E. The department shall determine and render its decision regarding all rates or charges within ninety days after commencement of the applicant's hearing for an adjustment of rates or charges. If the department does not render its decision as required by this subsection, the ambulance service may adjust its rates and charges to an amount that does not exceed the amounts sought by the ambulance service in its application to the department. If the department renders a decision to adjust the rates or charges to an amount less than that requested in the application and the ambulance service has made an adjustment to its rates and charges that is higher than the adjustment approved by the department, within thirty days after the department's decision the ambulance service shall refund to the appropriate ratepayer the difference between the ambulance service's adjusted rates and charges and the rates and charges ordered by the department. The ambulance service shall provide evidence to the department that the refund has been made. If the ambulance service fails to comply with this subsection, the director may impose a civil penalty subject to the limitations provided in section 36‑2245.
F. An ambulance service shall charge the advanced life support base rate as prescribed by the director under any of the following circumstances:
1. A person requests an ambulance by dialing telephone number 911, or a similarly designated telephone number for emergency calls, and the ambulance service meets the following:
(a) The ambulance is staffed with at least one ambulance attendant.
(b) The ambulance is equipped with all required advanced life support medical equipment and supplies for the advanced life support attendants in the ambulance.
(c) The patient receives advanced life support services or is transported by the advanced life support unit.
2. Advanced life support is requested by a medical authority or by the patient.
3. The ambulance attendants administer one or more specialized treatment activities or procedures as prescribed by the department by rule.
G. An ambulance service shall charge the basic life support base rate as prescribed by the director under any of the following circumstances:
1. A person requests an ambulance by dialing telephone number 911, or a similarly designated telephone number for emergency calls, and the ambulance service meets the following:
(a) The ambulance is staffed with two ambulance attendants certified by this state.
(b) The ambulance is equipped with all required basic life support medical equipment and supplies for the basic life support medical attendants in the ambulance.
(c) The patient receives basic life support services or is transported by the basic life support unit.
2. Basic life support transportation or service is requested by a medical authority or by the patient, unless any provision of subsection F of this section applies, in which case the advanced life support rate shall apply.
H. For each contract year, the Arizona health care cost containment system administration and its contractors and subcontractors shall provide remuneration for ambulance services for persons who are enrolled in or covered by the Arizona health care cost containment system in an amount equal to eighty per cent of the amounts as prescribed by the department as of July 1 of each year for services specified in subsections F and G of this section and eighty per cent of the mileage charges as determined by the department as of July 1 of each year pursuant to section 36‑2232. The Arizona health care cost containment system administration shall make annual adjustments to the Arizona health care cost containment system fee schedule according to the department's approved ambulance service rate in effect as of July 1 of each year. The rate adjustments made pursuant to this subsection are effective beginning October 1 of each year.
H. This section does not apply to reimbursement by the Arizona health care cost containment system administration or its contractors or subcontractors. The Arizona health care cost containment system administration or its contractors or subcontractors shall provide reimbursement for ambulance services under chapter 29, article 1 of this title.
I. In establishing rates and charges the director shall consider the following factors:
1. The transportation needs assessment of the medical response system in a political subdivision.
2. The medical care consumer price index of the United States department of labor, bureau of labor statistics.
3. Whether a review is made by a local emergency medical services coordinating system in regions where that system is designated as to the appropriateness of the proposed service level.
4. The rate of return on gross revenue.
5. Response times pursuant to section 36‑2232, subsection A, paragraph 2.
J. Notwithstanding section 36‑2234, an ambulance service may charge an amount for medical assessment, equipment or treatment that exceeds the requirements of section 36‑2205 if requested or required by a medical provider or patient.
K. Notwithstanding subsections D, F and G of this section, an ambulance service may provide gratuitous services if an ambulance is dispatched and the patient subsequently declines to be treated or transported.
Sec. 4. Section 36-2901.05, Arizona Revised Statutes, is amended to read:
36-2901.05. Breast and cervical cancer treatment; additional definition of eligibility
A. For the purposes of this article, beginning January 1, 2002, "eligible person" includes a person who meets all of the following requirements:
1. Has been screened for breast and cervical cancer through the well woman healthcheck program administered by the department of health services by a provider or entity that is recognized by the well woman healthcheck program administered by the department of health services as part of its program under title XV of the public health service act and that operates consistently with well woman healthcheck program guidelines.
2. Needs treatment for breast or cervical cancer.
3. Has an income level that is at or below two hundred fifty per cent of the federal poverty guidelines.
3. 4. Is under sixty‑five years of age.
4. 5. Is not otherwise covered under creditable coverage as defined in section 2701(c) of the public health services act (42 United States Code section 300gg(c)).
B. The administration shall limit the assistance it provides pursuant to this section to medically necessary services provided during the period that the person requires treatment for breast or cervical cancer as determined by the administration.
C. The administration shall use a simplified eligibility form that the applicant may mail to the administration. Once the administration receives a completed application, the administration shall expedite the eligibility determination and enrollment on a prospective basis.
Sec. 5. Title 36, chapter 34, article 1, Arizona Revised Statutes, is amended by adding section 36‑3415, to read:
36‑3415. Behavioral health expenditures; annual report
On or before August 1, 2012, the directors of the joint legislative budget committee and the governor's office of strategic planning and budgeting shall agree to the content of the report on medicaid and nonmedicaid behavioral health expenditures. Beginning October 1, 2013, the department of health services shall report annually to the joint legislative budget committee on each fiscal year's medicaid and nonmedicaid behavioral health expenditures, including behavioral health demographics, utilization and expenditures, medical necessity oversight practices, tracking of high cost beneficiaries, mortality trends, placement trends, program integrity and access to services.
Sec. 6. Laws 2011, chapter 31, section 23 is amended to read:
Sec. 23. AHCCCS; disproportionate share payments; retroactivity
A. Disproportionate share payments for fiscal year 2011-2012 made pursuant to section 36-2903.01, subsection P, Arizona Revised Statutes, include:
1. $55,507,900 for a qualifying nonstate operated public hospital. The Maricopa county special health care district shall provide a certified public expense form for the amount of qualifying disproportionate share hospital expenditures made on behalf of this state to the administration on or before May 1, 2012 for all state plan years as required by the Arizona health care cost containment system 1115 waiver standard terms and conditions. The administration shall assist the district in determining the amount of qualifying disproportionate share hospital expenditures. Once the administration files a claim with the federal government and receives federal funds participation based on the amount certified by the Maricopa county special health care district, if the certification is equal to or greater than $55,507,900, subject to the limit specified in this paragraph, the administration shall distribute $4,202,300 to the Maricopa county special health care district, deposit $8,541,500 in the department of economic security long‑term care system fund established pursuant to section 36‑2953, Arizona Revised Statutes, and deposit the balance of the federal funds participation in the state general fund. If the certification provided is for an amount less than $55,507,900, and the administration determines that the revised amount is correct pursuant to the methodology used by the administration pursuant to section 36-2903.01, Arizona Revised Statutes, the administration shall notify the governor, the president of the senate and the speaker of the house of representatives, shall distribute $4,202,300 to the Maricopa county special health care district and shall deposit the balance of the federal funds participation in the state general fund. If the certification provided is for an amount less than $55,507,900 and the administration determines that the revised amount is not correct pursuant to the methodology used by the administration pursuant to section 36-2903.01, Arizona Revised Statutes, the administration shall notify the governor, the president of the senate and the speaker of the house of representatives and shall deposit the total amount of the federal funds participation in the state general fund. The disproportionate share hospital payment attributed to the Maricopa county special health care district shall not exceed $89,877,700.
2. $28,474,900 for the Arizona state hospital. The Arizona state hospital shall provide a certified public expense form for the amount of qualifying disproportionate share hospital expenditures made on behalf of the state to the administration on or before March 31, 2012. The administration shall assist the Arizona state hospital in determining the amount of qualifying disproportionate share hospital expenditures. Once the administration files a claim with the federal government and receives federal funds participation based on the amount certified by the Arizona state hospital, the administration shall distribute the entire amount of federal financial participation to the state general fund. If the certification provided is for an amount less than $28,474,900, the administration shall notify the governor, the president of the senate and the speaker of the house of representatives and shall distribute the entire amount of federal financial participation to the state general fund. The certified public expense form provided by the Arizona state hospital shall contain both the total amount of qualifying disproportionate share hospital expenditures and the amount limited by section 1923(g) of the social security act.
3. $9,284,800 for private qualifying disproportionate share hospitals. The Arizona health care cost containment system administration shall make payments to hospitals consistent with this appropriation and the terms of the section 1115 waiver, however, payments shall be limited to those hospitals that either:
(a) Meet the mandatory definition of disproportionate share qualifying hospitals under section 1923 of the social security act.
(b) Are located in Yuma county and contain at least three hundred beds.
B. Disproportionate share payments in fiscal years 2010‑2011 and 2011‑2012 made pursuant to section 36‑2903.01, subsection D, Arizona Revised Statutes, include amounts for disproportionate share hospitals designated by political subdivisions of this state, tribal governments and any university under the jurisdiction of the Arizona board of regents. Contingent on approval by the administration and the centers for medicare and Medicaid services any amount of federal funding allotted to this state pursuant to section 1923(f) of the social security act and not otherwise expended under subsection A, paragraph 1, 2 or 3 of this section shall be made available for distribution pursuant to this subsection. Political subdivisions of this state, tribal governments and any university under the jurisdiction of the Arizona board of regents may designate hospitals eligible to receive disproportionate share funds in an amount up to the limit prescribed in section 1923(g) of the social security act if those political subdivisions, tribal governments or universities provide sufficient monies to qualify for the matching federal monies for the disproportionate share payments.
C. This section, as amended by this act, applies retroactively to from and after May 31, 2012.
Sec. 7. Repeal
Laws 2011, chapter 31, section 34 is repealed.
Sec. 8. AHCCCS; rules; continuation
Any rules adopted by the Arizona health care cost containment system administration implementing program changes pursuant to Laws 2011, chapter 31, section 34 shall continue in effect through December 31, 2013. After December 31, 2013, the administration may not continue any program changes made pursuant to Laws 2011, chapter 31, section 34 without specific statutory authorization.
Sec. 9. ALTCS; county contributions; fiscal year 2012-2013
A. Notwithstanding section 11-292, Arizona Revised Statutes, county contributions for the Arizona long-term care system for fiscal year 2012-2013 are as follows:
1. Apache $ 611,200
2. Cochise $ 5,266,800
3. Coconino $ 1,834,500
4. Gila $ 2,146,400
5. Graham $ 1,434,200
6. Greenlee $ 192,800
7. La Paz $ 625,200
8. Maricopa $148,533,600
9. Mohave $ 8,000,100
10. Navajo $ 2,529,300
11. Pima $ 39,316,400
12. Pinal $ 15,081,500
13. Santa Cruz $ 1,904,900
14. Yavapai $ 8,450,900
15. Yuma $ 7,292,700
B. If the overall cost for the Arizona long-term care system exceeds the amount specified in the general appropriations act for fiscal year 2012‑2013, the state treasurer shall collect from the counties the difference between the amount specified in subsection A of this section and the counties' share of the state's actual contribution. The counties' share of the state contribution shall be in compliance with any federal maintenance of effort requirements. The director of the Arizona health care cost containment system administration shall notify the state treasurer of the counties' share of the state's contribution and report the amount to the director of the joint legislative budget committee. The state treasurer shall withhold from any other monies payable to that county from whatever state funding source is available an amount necessary to fulfill that county's requirement specified in this subsection. The state treasurer shall not withhold distributions from the highway user revenue fund pursuant to title 28, chapter 18, article 2, Arizona Revised Statutes. The state treasurer shall deposit the amounts withheld pursuant to this subsection and amounts paid pursuant to subsection A of this section in the long-term care system fund established by section 36-2913, Arizona Revised Statutes.
Sec. 10. Sexually violent persons; county reimbursement; fiscal year 2012-2013; deposit; tax withholding
A. Notwithstanding any other law, if this state pays the costs of a commitment of an individual determined to be sexually violent by the court, the county shall reimburse the department of health services for fifty per cent of these costs for fiscal year 2012-2013.
B. The department of health services shall deposit the reimbursements, pursuant to sections 35‑146 and 35‑147, Arizona Revised Statutes, in the Arizona state hospital fund established by section 36‑545.08, Arizona Revised Statutes.
C. Each county shall make the reimbursements for these costs as specified in subsection A of this section within thirty days after a request by the department of health services. If the county does not make the reimbursement, the superintendent of the Arizona state hospital shall notify the state treasurer of the amount owed and the treasurer shall withhold the amount, including any additional interest as provided in section 42‑1123, Arizona Revised Statutes, from any transaction privilege tax distributions to the county. The treasurer shall deposit the withholdings, pursuant to sections 35‑146 and 35‑147, Arizona Revised Statutes, in the Arizona state hospital fund established by section 36‑545.08, Arizona Revised Statutes.
D. Notwithstanding any other law, a county may meet any statutory funding requirements of this section from any source of county revenue designated by the county, including funds of any countywide special taxing district in which the board of supervisors serves as the board of directors.
E. County contributions made pursuant to this section are excluded from the county expenditure limitations.
Sec. 11. Competency restoration treatment; city and county reimbursement; fiscal year 2012-2013; deposit; tax withholding
A. Notwithstanding section 13-4512, Arizona Revised Statutes, if this state pays the costs of a defendant's inpatient competency restoration treatment pursuant to section 13-4512, Arizona Revised Statutes, the city or county shall reimburse the department of health services for one hundred per cent of these costs for fiscal year 2012-2013.
B. The department of health services shall deposit the reimbursements, pursuant to sections 35-146 and 35-147, Arizona Revised Statutes, in the Arizona state hospital fund established by section 36-545.08, Arizona Revised Statutes.
C. Each city and county shall make the reimbursements for these costs as specified in subsection A of this section within thirty days after a request by the department of health services. If the city or county does not make the reimbursement, the superintendent of the Arizona state hospital shall notify the state treasurer of the amount owed and the treasurer shall withhold the amount, including any additional interest as provided in section 42-1123, Arizona Revised Statutes, from any transaction privilege tax distributions to the city or county. The treasurer shall deposit the withholdings, pursuant to sections 35-146 and 35-147, Arizona Revised Statutes, in the Arizona state hospital fund established by section 36‑545.08, Arizona Revised Statutes.
D. Notwithstanding any other law, a county may meet any statutory funding requirements of this section from any source of county revenue designated by the county, including funds of any countywide special taxing district in which the board of supervisors serves as the board of directors.
E. County contributions made pursuant to this section are excluded from the county expenditure limitations.
Sec. 12. State employee health benefits
For fiscal year 2012‑2013, the department of administration shall not implement a differentiated health insurance premium based on the integrated or nonintegrated status of a health insurance provider available through the state employee health insurance program.
Sec. 13. AHCCCS; disproportionate share payments
A. Disproportionate share payments for fiscal year 2012-2013 made pursuant to section 36-2903.01, subsection O, Arizona Revised Statutes, include:
1. $89,877,700 for a qualifying nonstate operated public hospital. The Maricopa county special health care district shall provide a certified public expense form for the amount of qualifying disproportionate share hospital expenditures made on behalf of this state to the administration on or before May 1, 2013 for all state plan years as required by the Arizona health care cost containment system 1115 waiver standard terms and conditions. The administration shall assist the district in determining the amount of qualifying disproportionate share hospital expenditures. Once the administration files a claim with the federal government and receives federal funds participation based on the amount certified by the Maricopa county special health care district, if the certification is equal to or less than $89,877,700, and the administration determines that the revised amount is correct pursuant to the methodology used by the administration pursuant to section 36-2903.01, Arizona Revised Statutes, the administration shall notify the governor, the president of the senate and the speaker of the house of representatives, shall distribute $4,202,300 to the Maricopa county special health care district and shall deposit the balance of the federal funds participation in the state general fund. If the certification provided is for an amount less than $89,877,700 and the administration determines that the revised amount is not correct pursuant to the methodology used by the administration pursuant to section 36-2903.01, Arizona Revised Statutes, the administration shall notify the governor, the president of the senate and the speaker of the house of representatives and shall deposit the total amount of the federal funds participation in the state general fund. The disproportionate share hospital payment attributed to the Maricopa county special health care district shall not exceed $89,877,700.
2. $28,474,900 for the Arizona state hospital. The Arizona state hospital shall provide a certified public expense form for the amount of qualifying disproportionate share hospital expenditures made on behalf of the state to the administration on or before March 31, 2013. The administration shall assist the Arizona state hospital in determining the amount of qualifying disproportionate share hospital expenditures. Once the administration files a claim with the federal government and receives federal funds participation based on the amount certified by the Arizona state hospital, the administration shall distribute the entire amount of federal financial participation to the state general fund. If the certification provided is for an amount less than $28,474,900, the administration shall notify the governor, the president of the senate and the speaker of the house of representatives and shall distribute the entire amount of federal financial participation to the state general fund. The certified public expense form provided by the Arizona state hospital shall contain both the total amount of qualifying disproportionate share hospital expenditures and the amount limited by section 1923(g) of the social security act.
3. $9,284,800 for private qualifying disproportionate share hospitals. The Arizona health care cost containment system administration shall make payments to hospitals consistent with this appropriation and the terms of the section 1115 waiver, however, payments shall be limited to those hospitals that either:
(a) Meet the mandatory definition of disproportionate share qualifying hospitals under section 1923 of the social security act.
(b) Are located in Yuma county and contain at least three hundred beds.
B. Disproportionate share payments in fiscal year 2012‑2013 made pursuant to section 36‑2903.01, subsection D, Arizona Revised Statutes, include amounts for disproportionate share hospitals designated by political subdivisions of this state, tribal governments and any university under the jurisdiction of the Arizona board of regents. Contingent on approval by the administration and the centers for medicare and medicaid services, any amount of federal funding allotted to this state pursuant to section 1923(f) of the social security act and not otherwise expended under subsection A, paragraph 1, 2 or 3 of this section shall be made available for distribution pursuant to this subsection. Political subdivisions of this state, tribal governments and any university under the jurisdiction of the Arizona board of regents may designate hospitals eligible to receive disproportionate share funds in an amount up to the limit prescribed in section 1923(g) of the social security act if those political subdivisions, tribal governments or universities provide sufficient monies to qualify for the matching federal monies for the disproportionate share payments.
Sec. 14. AHCCCS transfer; counties; federal monies
On or before December 31, 2013, notwithstanding any other law, for fiscal year 2012‑2013 the Arizona health care cost containment system administration shall transfer to the counties such portion, if any, as may be necessary to comply with section 10201(c)(6) of the patient protection and affordable care act (P.L. 111‑148), regarding the counties' proportional share of the state's contribution.
Sec. 15. County acute care contribution; fiscal year 2012-2013
A. Notwithstanding section 11-292, Arizona Revised Statutes, for fiscal year 2012-2013 for the provision of hospitalization and medical care, the counties shall contribute the following amounts:
1. Apache $ 268,800
2. Cochise $ 2,214,800
3. Coconino $ 742,900
4. Gila $ 1,413,200
5. Graham $ 536,200
6. Greenlee $ 190,700
7. La Paz $ 212,100
8. Maricopa $20,225,200
9. Mohave $ 1,237,700
10. Navajo $ 310,800
11. Pima $14,951,800
12. Pinal $ 2,715,600
13. Santa Cruz $ 482,800
14. Yavapai $ 1,427,800
15. Yuma $ 1,325,100
B. If a county does not provide funding as specified in subsection A of this section, the state treasurer shall subtract the amount owed by the county to the Arizona health care cost containment system fund and the long‑term care system fund established by section 36-2913, Arizona Revised Statutes, from any payments required to be made by the state treasurer to that county pursuant to section 42-5029, subsection D, paragraph 2, Arizona Revised Statutes, plus interest on that amount pursuant to section 44-1201, Arizona Revised Statutes, retroactive to the first day the funding was due. If the monies the state treasurer withholds are insufficient to meet that county's funding requirements as specified in subsection A of this section, the state treasurer shall withhold from any other monies payable to that county from whatever state funding source is available an amount necessary to fulfill that county's requirement. The state treasurer shall not withhold distributions from the highway user revenue fund pursuant to title 28, chapter 18, article 2, Arizona Revised Statutes.
C. Payment of an amount equal to one-twelfth of the total amount determined pursuant to subsection A of this section shall be made to the state treasurer on or before the fifth day of each month. On request from the director of the Arizona health care cost containment system administration, the state treasurer shall require that up to three months' payments be made in advance, if necessary.
D. The state treasurer shall deposit the amounts paid pursuant to subsection C of this section and amounts withheld pursuant to subsection B of this section in the Arizona health care cost containment system fund and the long-term care system fund established by section 36-2913, Arizona Revised Statutes.
E. If payments made pursuant to subsection C of this section exceed the amount required to meet the costs incurred by the Arizona health care cost containment system for the hospitalization and medical care of those persons defined as an eligible person pursuant to section 36-2901, paragraph 6, subdivisions (a), (b) and (c), Arizona Revised Statutes, the director of the Arizona health care cost containment system administration may instruct the state treasurer either to reduce remaining payments to be paid pursuant to this section by a specified amount or to provide to the counties specified amounts from the Arizona health care cost containment system fund and the long-term care system fund.
F. It is the intent of the legislature that the Maricopa county contribution pursuant to subsection A of this section be reduced in each subsequent year according to the changes in the GDP price deflator. For the purposes of this subsection, "GDP price deflator" has the same meaning prescribed in section 41-563, Arizona Revised Statutes.
Sec. 16. Hospitalization and medical care contribution; fiscal year 2012-2013
A. Notwithstanding any other law, for fiscal year 2012-2013, beginning with the second monthly distribution of transaction privilege tax revenues, the state treasurer shall withhold one‑eleventh of the following amounts from state transaction privilege tax revenues otherwise distributable, after any amounts withheld for the county long-term care contribution or the county administration contribution pursuant to section 11-292, subsection O, Arizona Revised Statutes, for deposit in the Arizona health care cost containment system fund established by section 36-2913, Arizona Revised Statutes, for the provision of hospitalization and medical care:
1. Apache $ 87,300
2. Cochise $ 162,700
3. Coconino $ 160,500
4. Gila $ 65,900
5. Graham $ 46,800
6. Greenlee $ 12,000
7. La Paz $ 24,900
8. Mohave $ 187,400
9. Navajo $ 122,800
10. Pima $1,115,900
11. Pinal $ 218,300
12. Santa Cruz $ 51,600
13. Yavapai $ 206,200
14. Yuma $ 183,900
B. If the monies the state treasurer withholds are insufficient to meet that county's funding requirement as specified in subsection A of this section, the state treasurer shall withhold from any other monies payable to that county from whatever state funding source is available an amount necessary to fulfill that county's requirement. The state treasurer shall not withhold distributions from the highway user revenue fund pursuant to title 28, chapter 18, article 2, Arizona Revised Statutes.
C. On request from the director of the Arizona health care cost containment system administration, the state treasurer shall require that up to three months' payments be made in advance.
D. In fiscal year 2012-2013, the sum of $2,646,200 withheld pursuant to subsection A of this section is allocated for the county acute care contribution for the provision of hospitalization and medical care services administered by the Arizona health care cost containment system administration.
E. County contributions made pursuant to this section are excluded from the county expenditure limitations.
Sec. 17. Proposition 204 administration; county expenditure limitation
County contributions for the administrative costs of implementing sections 36-2901.01 and 36-2901.04, Arizona Revised Statutes, that are made pursuant to section 11-292, subsection O, Arizona Revised Statutes, are excluded from the county expenditure limitations.
Sec. 18. AHCCCS; ambulance services; reimbursement
Notwithstanding section 36‑2239, subsection H, Arizona Revised Statutes, for dates of service on and after October 1, 2012 through September 30, 2013, the Arizona health care cost containment system administration and its contractors shall reimburse ambulance service providers in an amount equal to 68.59 per cent of the amounts prescribed by the department of health services.
Sec. 19. AHCCCS; hospital reimbursement inflation adjustment freeze
For the contract year beginning October 1, 2012, notwithstanding section 36‑2903.01, subsection G, paragraph 3, Arizona Revised Statutes, and any rules adopted to implement that provision, the Arizona health care cost containment system administration may elect to not adjust outpatient hospital fee schedule rates by any inflation index.
Sec. 20. AHCCCS; reimbursement rates; reduction authority
Notwithstanding any other law, for rates effective October 1, 2012 through September 30, 2013, the Arizona health care cost containment system administration may continue the five per cent reduction in payments for institutional and noninstitutional services that was in effect on October 1, 2011.
Sec. 21. AHCCCS; risk contingency rate setting
Notwithstanding any other law, for the contract year beginning October 1, 2012 and ending September 30, 2013, the Arizona health care cost containment system administration may continue the risk contingency rate setting for all managed care organizations and the funding for all managed care organizations administrative funding levels that was imposed for the contract year beginning October 1, 2010 and ending September 30, 2011.
Sec. 22. AHCCCS; social security administration; medicare liability waiver
The Arizona health care cost containment system may participate in any special disability workload 1115 demonstration waiver offered by the centers for medicare and medicaid services. Any credits provided by the 1115 demonstration waiver process are to be used in the fiscal year when such credits are made available to fund the state share of any medical assistance expenditures that qualify for federal financial participation under the medicaid program. The Arizona health care cost containment system administration shall report the receipt of any credits to the director of the joint legislative budget committee by December 31, 2012 and June 30, 2013.
Sec. 23. AHCCCS; federal funding; hospitals; rule making exemption
A. The Arizona health care cost containment system administration is authorized to apply for and receive from the centers for medicare and medicaid services additional federal financial participation monies for trauma centers, emergency departments and rural hospitals in this state until January 1, 2014.
B. The Arizona health care cost containment system administration is exempt from the rule making requirements of title 41, chapter 6, Arizona Revised Statutes, until October 1, 2012, for the implementation of this section.
Sec. 24. AHCCCS; community health centers; prescription drugs; rule making exemption
The Arizona health care cost containment system administration is exempt from the rule making requirements of title 41, chapter 6, Arizona Revised Statutes, until October 1, 2012, for the revision of the reimbursement methodology for community health center prescription drug costs.
Sec. 25. AHCCCS; ambulance rates; rule making exemption
The Arizona health care cost containment system administration is exempt from the rule making requirements of title 41, chapter 6, Arizona Revised Statutes, until December 31, 2012, for the revision of ambulance provider rates.
Sec. 26. Department of health services; health research account; Alzheimer's disease research
Notwithstanding section 36‑773, Arizona Revised Statutes, the department of health services may use monies in the health research account established by section 36‑773, Arizona Revised Statutes, in an amount specified in the general appropriations act for Alzheimer's disease research.
Sec. 27. Department of economic security; long-term care system fund; fiscal year 2012-2013
Notwithstanding section 36‑2953, Arizona Revised Statutes, the department of economic security may use monies in the long-term care system fund established pursuant to section 36-2953, Arizona Revised Statutes, for any operational or programmatic expenses in fiscal year 2012-2013.
Sec. 28. Child care assistance eligibility; notification
Notwithstanding section 46‑803, Arizona Revised Statutes, for fiscal year 2012‑2013, the department of economic security may reduce maximum income eligibility levels for child care assistance in order to manage within appropriated and available monies. The department of economic security shall notify the joint legislative budget committee of any change in maximum income eligibility levels for child care within fifteen days after implementing the change.
Sec. 29. Department of economic security; drug testing; TANF cash benefits recipients
During fiscal year 2012‑2013, the department of economic security shall screen and test each adult recipient who is otherwise eligible for temporary assistance for needy families cash benefits and who the department has reasonable cause to believe engages in the illegal use of controlled substances. Any recipient who is found to have tested positive for the use of a controlled substance that was not prescribed for the recipient by a licensed health care provider is ineligible to receive benefits for a period of one year.
Sec. 30. Dental self-insurance; review
For fiscal year 2012‑2013, prior to self-insuring a dental plan as authorized by section 38-651, Arizona Revised Statutes, the department of administration shall submit a plan for dental self-insurance to the joint legislative budget committee for review. The plan shall include an analysis of the costs and benefits associated with switching to self-insurance compared to other insurance options, including the options in place at the time of the change.
Sec. 31. AHCCCS; dental contractor compliance
The Arizona health care cost containment system administration shall monitor contractor compliance and performance requirements in the provision of covered dental services to eligible members.
Sec. 32. Intent; implementation of program
It is the intent of the legislature that for fiscal year 2012‑2013 the Arizona health care cost containment system administration implement a program within the available appropriation.
Sec. 33. Intent; false claims act; savings
It is the intent of the legislature that the Arizona health care cost containment system administration comply with the federal false claims act and maximize savings in, and continue to consider best available technologies in detecting fraud in, the administration's programs.
Sec. 34. Intent; outpatient hospital fee schedule rates
It is the intent of the legislature that the Arizona health care cost containment system administration revise its rules to eliminate automatic adjustments to outpatient hospital fee schedule rates by any inflation index.
Sec. 35. Intent; capitation rate increases
It is the intent of the legislature that the Arizona health care cost containment system administration capitation rate increases not exceed three per cent in fiscal years 2013‑2014 and 2014‑2015.
